HS Top Sell Signals In Dow and SP500

This morning we have the seen the HS Top sell signals that everyone has been expecting for the last two weeks. However, the next probable move is a rally back to the 50dema or a little higher in both indexes. This may be only an intraday move, but the last 3 days counts as 5 waves down on the intraday chart. We should expect a small countertrend move before the next wave down.

The entire correction may be a double zigzag. If so, the next wave down will complete the correction to the surprise of the bears. It will take a move below 8090 in the Dow and 870 in the SP500 near term to alter this outcome.